SALT Report 1238 – The Kansas Department of Revenue has released guidance regarding the state’s prepaid wireless 911 fee that takes effect January 1, 2012.
The 1.06% fee will be imposed on all purchases of prepaid cell phones with a set dollar amount used for air time minutes, or sold with rebates for airtime; prepaid calling cards for cell phones preloaded with a dollar amount for minutes, units, or air time; the recharging of a reusable cell phone calling card, or the recharging of a cell phone with additional minutes or units of air time.
The money collected will be deposited into the 911 State Fund and will help Kansas develop emergency dispatch centers across the state. The money will be used to offset the costs of purchasing new equipment, upgrading existing systems, or license and training fees.
The fee will be paid directly to the retailer at the time of purchase. Retailers will be required to file and remit the fee electronically through the department’s online service KSWebTax.
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